Held at HM Pleasure

Poodle

Dear all,

One of my clients, a sole trader in the building game and who has been a client of mine for some years, spend 6 months last year detained at HM pleasure.

Any Ideas about how I should deal with his business expenditure for the time that he was inside?

For example he has a van on a loan and an office at home, usual small business set up.

Poodle

PS Before you ask, his garden grew very well, with personal consumption items for a medical condition. Of course!

claudialowe

Poodle

I think that I would probably time apportion everything - ie 6 months working and 6 months not.

Any bank loans I think that I would give the interest for the whole year, and motor loans probably as well, but HMRC would well argue against these.

Claudia

Poodle

Hi

I cheked with Croner today and they advised that as the detention was only short then all business expenses are allowable as usual as if there had been no break.

Poodle

claudialowe

Well - you learn something new every day - I have to say that I am gobsmacked. If someone was ill that is something, but having committed and been sentenced for a criminal offence.....

Hey ho what a world we live in!

Claudia